There is much in the news recently about two very pertinent aspects regarding the much-hyped word “offshore” and many names of prominent people around the world have been revealed, with a criminal undertone attached.
The names recently disclosed under the much talked about and supposedly leaked, “Panama Papers” have some of the “who’s who” in the international business fraternity, Hollywood and Bollywood personalities and a cross section of politicians, among a host of others.
The two issues that have precipitated from all the hype have been about the legality of “offshore company incorporation & offshore banking”, and the legality of the two.
Are offshore accounts legal and did all those who had such enormous funds in Panama, break international “money laundering laws” which was the only international law that they could have infringed.
If there is any doubt as to how do offshore accounts work they are governed like any bank accounts anywhere and under the jurisdiction of that country’s banking laws.
As far as their own country’s laws were concerned, it was another matter altogether and was something between the individual and the laws of the country of their domicile.
We take a look at both the issues and would try to understand what really has been the problem when the names were revealed and sensationalized to attach a criminal element to the leaked papers and whether there was one.
To understand the two issues it may be necessary to first look at what “offshore” in financial terms really means and if it is illegal to do so from an international legal point of view.
“Offshore” in this context is simply having business and finances outside of your country of citizenship or permanent residency and with the new concept of “dual citizenship”, it may be added to include both countries into the equation.
There is nothing illegal about having business interests and even bank accounts or simply referred to as offshore investing outside of your countries as long as you have not “laundered” the money out of your country or countries.
As an example, if you are a Hollywood actor and on an assignment out of the United States and paid for it in a currency of your choice that money is yours to do anything as you may.
You would need to disclose it to the US IRS, as per prevalent rules as a US citizen and either pay a minimal tax component or not anything at all, but other than that there are no restrictions on you.
You have the right to initiate asset protection and ensure that those monies are kept in an offshore banking account and use whenever you would want to.
Finding out the easiest country to open a bank account with the least taxes and charges and the incentives offered could be done, by retaining a reputed consultant in this financial sector.
Prior to trying your hand in such offshore investments talking to an expert and learning about the offshore banking meaning and understanding it thoroughly would be in your better interests.
There are many countries that offer some of the best incentives for financial investments and looking around and selecting the best place for offshore incorporation of your company would be your prerogative.
Once you have an offshore banking account you could have the services of an offshore prepaid card with which you could access any funds that you may need with the convenience of any other debit card that you may choose to use.
You would have direct access to any monies lying in any offshore banking account and pay for any services around the world and all your transaction would be cloaked in the highest possible security and secrecy.
These cards could be used at ATMs and for purchases of goods and services which would give you financial freedom wherever you may be as most banks are interlinked globally today.
Offshore company incorporation
When you have such legally earned monies, you could seek the help of any offshore company formation services and incorporate a business of your own and choice.
Learning the ropes is the name of this very diverse business and learning everything you could on what is offshore company and the advantages that you would accrue to you and the facilities accorded should be studied in detail.
It is only when you have mastered the complexity of these investments or retained the expertise of a reputed consultant that you would be comfortable in these types of investment.
In such a context offshore company meaning would be that, the company so formed would be in a country other than that of yours but within the purview of the banking regulations of the country it is situated in.
Before you plunge yourself in, it would be prudent to find out which country would be facilitate the cheapest offshore company formation so that you pay the minimum to invest to get your offshore company off the ground.
Whatever assets that you may have in far flung countries it is prudent that you apprise yourself of the best offshore asset management strategies to safeguard your money.
This financial sector has many intricacies and with the ability to move money around the world without any questions asked, is its most notable asset hence understanding, what offshore account meaning and all the advantages and disadvantages associated with it should be your priority.
There are no restrictions to have financial investments anywhere around the world as long as you do not break international drug and human trafficking, money laundering laws and engage in other criminal activities.
Offshore investments are not new to the world financial fraternity and has been a an ongoing saga for many decades but what has brought everything recently into the limelight is with the high corruption rates across the world and also the technological advancements associated with the banking industry.
If you have legally earned monies, investing them anywhere around the world are generally welcomed by the receiving countries under what is popularly called Foreign Direct Investment.
We here at www.OffshoreCart.com can help you out with Offshore Company formation. Contact us today.